OREANDA-NEWS. On 19th February 2014, the Head of the Federal Antimonopoly Service, Igor Artemiev, signed a document to prolong the period of transition on the market of apatite concentrate for three years.

In 2012 FAS drafted the Recommendations on apatite concentrate jointly with market participants and specialized ministries to execute the orders of the Government of the Russian Federation. The purpose of the Recommendations is to protect competition and prevent discrimination on the market.

Under the Recommendations prices for Russian consumers of apatite concentrate for the period of transition during 2013 were not supposed to exceed the prices on the global marketsof phosphates and / or the lowest export prices with a reducing component, that takes into consideration prices for previous supplies of apatite concentrate to the domestic market, indexed for commercial inflation.

Initially the period of transition was planned to be ended on 31st December 2013, after which pricing must take place on the basis of the lowest export prices for apatite concentrate or prices formed on the competitive global market.

Due to negative trends on the global markets of mineral fertilizers affecting the position of Russian producers, FAS made a decision to prolong the period of transition for three years - till 2016 inclusive.

“Monitoring showed that in 2013 world markets of phosphorous fertilizers displayed a downward trend. Prices for the main types of phosphorous fertilizers in December 2013 decreased by 25% in comparison with December 2012”, commented the Head of FAS Department for Control over Chemical Industry and Agro-Industrial Complex, Anna Mirochinenko. “A similar trend was typical for the prices on the market of the Russian Federation. Cost effectiveness and sale prices of all producers of mineral fertilizers reduced on both domestic and external markets. To prevent deterioration of the situation on the domestic market, we decided to prolong the period of transition”.